2007 Fiscal Year Annual Report n Community Housing of Wyandotte County

T here is a new optimism in Wyandotte County that is bringing collective energy to the urban core neighborhoods of Kansas City, Kansas. With each new house and quality resident program, more families come to these historic neighborhoods and find a new pride in calling KCK home. Community Housing of Wyandotte County is proud to be a part of this new movement by offering diverse housing opportunities, playing a role in increasing property values, and helping to enhance safety on each block. This 2007 Fiscal Year Annual Report tells the story of progress and highlights the anticipated programs ahead. n 1 2

Dear Friends T Funders hank you for giving us the opportunity to continue our efforts to stabilize, revitalize, and reinvest in communities through improved housing and related developments. In April, as we celebrated our first fundraising luncheon, we declared it was A New Day in KCK! and for CHWC, the 2007 fiscal year was truly that! While we continued to help families realize the dream of homeownership and expanded our reach throughout our seven targeted neighborhoods, we also took time to celebrate successes and re-evaluate our organization. The changes occurring in urban core neighborhoods throughout Kansas City are remarkable. In the past year, CHWC has built and sold over 20 new and rehabbed homes. The Neighborhood Ambassadors Program provided almost $6,000 to our target neighborhoods. The Crime and Safety Initiative Youth Arts Program continues to go from strength to strength. This academic year, students at McKinley Elementary and West Middle schools are enjoying free of charge classes in clay, improvisation, hip hop dance, and movement. Our Cathedral Pointe Development was honored as a finalist in the Community Impact category of the Capstone Awards for Real Estate Excellence. The Department of Housing and Urban Development awarded CHWC with the Best Practice Award for an Entitlement Project; the Historic Kansas City Foundation acknowledged CHWCs efforts in restoring and rehabbing Historic Fire Station #9; and most recently the Kansas Housing Conference awarded us the Ad Astra Award for Special Achievement in Affordable Housing Development. Internally, we decided it was time to celebrate the new day and update our name and logo. In July, we officially became known as Community Housing of Wyandotte County Inc. As you will see, we updated our identity to reflect the communities we serve. While our name and logo may have changed, our mission, vision, and dedication to our community has not. Thank you for your continued support and belief in our programs and our community. With your help, it really is a new day in KCK! Best Regards, Craig Gaffney Board Chair 3 Michael Avery Executive Director Thank you to the many organizations and individuals who provided support: Straub Construction Company, Inc. TRAK East UMB Bank US Bank U.S. Department of Justice Unified Government of Wyandotte County United Way of Wyandotte County American Red Cross Wyandotte County Chapter Aspen Salon & Spa Archdiocese of Kansas City in Kansas BHC Rhodes Bank Midwest Bank of America Brotherhood Bank & Trust CBIZ, Inc. Capital Federal Savings Bank City Vision Ministries, Inc. Community Foundation of Wyandotte County Country Club Bank El Centro, Inc. Energetiks F.B. Heron Foundation First Biomedical Inc. Gould Evans Affiliates Greater Kansas City Community Foundation Greater Kansas City Local Initiatives Support Corporation H & R Block Foundation Hall Family Foundation Haren Laughlin Construction Heartland Habitat for Humanity Home Builders Association of Greater Kansas City J.E. Dunn Kansas City Equity Fund Kansas City Kansas Chamber of Commerce Kansas City Winnelson Company Kansas Housing Conference Kauffman Fund for Kansas City M & I Bank Marsh & Company McAnany Van Cleave & Phillips Midwest Housing Equity Group NeighborWorks America Oppenheimer & Co. Schifman, Remley & Associates School Linked Services Security Bank State Street Foundation Individuals Mary Aimone Lawrence Allen Jim Anderson Fred Andrews Michael and Susan Avery Debra Box Michael Burns Chris Carroll Susan Carroll Barton Cohen David Duckers Elizabeth Fast Wayne Feurrbon Craig Gaffney Sandy Goodwin Darrell and Kim Hein Owen Kross Melinda and Steve Linnell Jeffrey Lipsky Kevin Morris Ramon and Sally Murguia Joan Nickum James and Janice Owens Michael and Jan Price Mary Pryor Joseph and Amy Reardon Murray Rhodes James and Meredith Schraeder Kipp Simmons Donny and Daina Smith Daniel Stepp Greg and Lisa Take Gilbert and Ofelia Valle Thomas Walsh Sue Willman Justin Wilson 4

A New Dawn for Housing D espite a lackluster real estate market nationally, housing development was one of CHWCs strong points in fiscal year 2007. The award winning Cathedral Pointe Development led the way as a shining example of CHWCs work in transforming the community. This past year, an additional 25 homes were built or rehabbed. Eighteen families achieved the dream of homeownership and became members of the Cathedral Neighborhood Association. High-quality craftsmanship and materials go into each CHWC new or rehabbed house, which enhances the value to homeowners purchasing a house in the urban core. Affordable homeownership and financial stability are at the heart of what we do. To assist all new homeowners, CHWC offered credit counseling and home buyer education classes. The overall goal of CHWCs housing efforts is to create strong and sustainable neighborhoods. While CHWC works hard to serve the housing needs of low-to-moderate income families, we strive to create diversified neighborhoods for long-term viability. Called a mixed-income strategy, it has led to great success: n 45% of homes are sold at market rates n 80% of all CHWC homes are purchased by minority families Neighborhoods are reaping the benefits: n Home values increased significantly faster in neighborhoods where CHWC is working relative to the urban core as a whole. n Crime has dropped significantly faster in CHWC neighborhoods than in the KCK urban core as a whole. In the coming year, CHWC will finish the $24 million investment in the Cathedral neighborhood. In the Bethany neighborhood, CHWC will break ground on Village of Fountains, a senior living campus featuring 59 assisted living units and 20 independent living units in a park-like setting. Built on the former Bethany Hospital site, Village of Foun5 6

A New Dawn for Housing tains will represent a $10 million investment in the Central Avenue corridor and neighborhood. program. Phase I of this project will provide the neighborhood with 20 new homes. The program will allow families to rent the homes and after 15 years have the option to purchase. During this period, the families will have the opportunity to attend homeownership classes and credit counseling sessions. For many families, this program is a rare opportunity to work toward homeownership. For the neighborhood, it will represent 20 new homeowners, an investment of $4 million, and substantial infrastructure upgrades not seen in this neighborhood for more than 40 years. Together with City Vision Ministries, CHWC is looking to increase the number of new homes in the Strawberry Hill neighborhood. In particular, CHWC will add another six new town homes, featuring modern urban living with views of the downtown skyline of both Kansas City, Kansas and Kansas City, Missouri. In order to maintain economic diversity, these town homes will be offered at market rate. In another KCK neighborhood, CHWC will undertake an ambitious rent-to-own A Shining Moment O n April 11, CHWC celebrated A New Day in KCK! with more than 200 neighborhood leaders, friends, and supporters. The inaugural fundraising luncheon held at the Reardon Center provided CHWC with the opportunity to celebrate its successes of recent years and share its continuing plans for the revitalization of Kansas Citys urban core neighborhoods. Due to its success, CHWC may continue its mission to stabilize, revitalize, and reinvest in communities through improved housing and other related developments. 2007 Accolades n April 2007 Capstone Awards for Real Estate Excellence n Honoree Community Impact category n May 2007 Historic Kansas City Foundation n Restoration/Rehabilitation of Historic Fire Station #9 CHWC is grateful for the strong and loyal commitment to its mission by its many funders in the corporate and philanthropic community. This support has provided funds to build affordable homes, provide community organizing support to neighborhoods, conduct homebuyer education and credit counseling services, and implement the many crime and safety initiative programs serving the community. n June 2007 Department of Housing and Urban Development n YAll Come Conference Lawrence Kansas Best Practice Award for an Entitlement Development n July 2007 Kansas Housing Conference n Ad Astra Award Special Achievement in Affordable Housing Development Urban and Suburban 7 8

Rays of Hope A neighborhood will not flourish without engaged and committed residents. To support these efforts, CHWC has created several programs and projects to increase resident participation, build leadership, improve safety and reduce crime, and provide enriching activities in our target neighborhoods: Strawberry Hill, Chelsea/Kensington, St. Joseph/St. Benedict, Riverview, Bethany, Prescott, and St. Peter/Waterway. Rays of Hope from May to August to cover the costs of celebrations, picnics, clean-ups, and back-to-school drives. CHWCs Community Safety Initiative, funded by the U.S. Department of Justice, provided creative solutions to developing a safe and crime-free community. First, by establishing crime and safety committees in each neighborhood, residents can address their unique needs. Most exciting, CHWC offered its CSI Youth Arts Program to two KCK public schools this academic year. Students at McKinley Elementary and West Middle schools participated in after-school enrichment classes such as hip hop dance, improvisation, clay and art, and music and movement. The classes were offered free of charge on early dismissal days and provided a safe alternative for students. CHWC hopes to continue expanding this program to many schools throughout Wyandotte County. The Neighborhood Ambassador Program plays a key role in this effort. Now in its second year, the Neighborhood Ambassador Program has helped CHWCs seven target neighborhoods fund many activities during summer months. Thanks to the generous support of The Racing Authority of Kansas East Foundation, neighborhoods received ongoing training and support, including a stipend of $250 per month More than 50 residents received valuable homeownership information at this years NeighborWorks Week workshops. As a charter member of the national organization NeighborWorks America, CHWC celebrates the importance of neighborhoods and their residents through the annual NeighborWorks Week. With our ongoing commitment to foster, increase, and support homeownership, this year CHWC partnered with Lowes to provide home improvement workshops. The workshops were free to all residents and covered important topics such as flooring, painting, basic electrical, door and window installation, and landscaping. Homeownership is the focal point of many of CHWCs programs and finding ways to assist homeowners is always a priority. residents through the process to develop a Quality of Life Plan, which is its roadmap for the future. Now with the assistance of CHWC, St.Peter/Waterway residents have implemented several key strategies to increase resident engagement. Committees are now in place and managed by residents working to create action plans, draft future planning issues, create surveys, and plan educational opportunities. A new partnership with Greater Kansas City Local Initiatives Support Corporation and its NeighborhoodsNOW program continued to flourish. The St.Peter/Waterway neighborhood was selected as one of the lead neighborhoods for the program that provides funding, development, and community organizing support. Initially, NeighborhoodsNOW consultants guided 9 10

Financials Financials Assets Revenue Current Assets Cash Undesignated O THER $537,607 19,752 Designated 384,208 Total 403,960 Contracts and grants receivable 175,579 Prepaid expenses and deposits 11,081 Construction in progress and property available for sale, at net realizable value Notes receivable, current portion due 3,167,672 GRANTS & CONTRIBUTIONS $1,503,999 123,787 Total Current Assets HOUSING SALES GROSS $3,091,440 3,882,079 Notes Receivable, net, less current portion above Property & Equipment, at cost, less accumulated depreciation Total Assets 836,386 2,117,213 $6,835,678 Liabilities Current Liabilities Accounts payable 231,605 Accrued expenses and other current liabilities 364,951 Total Current Liabilities FUNDRAISING $99,595 M ANAGEMENT & GENER AL $453,663 114,819 Notes payable, current portion due Expenses including cost of homes sold 711,375 Notes Payable, less current portion due 1,409,510 Total Liabilities Unrestricted net assets $2,120,885 Net Assets 3,246,684 Temporarily restricted net assets 50,654 Permanently restricted net assets 1,417,455 Total Net Assets P ROGRAM SERVICES $4,646,296 4,714,793 Total Liabilities & Net Assets $6,835,678 11 12

Staff Staff List: Board List: Michael Avery Executive Director Maria Evanoff Community Organizer Annie Flagler Trotta Urban Planner Patrick Gallant Director of Housing Services Diana Gil Bilingual Lending Specialist Monica Glaser Executive Assistant Kim Hein Chief Financial Officer Staci Henry Urban Planner Roxane Hill Director of Fund Development and Community Relations Mark Leonard CSI Coordinator Matt McAnaw Maintenance and Rehab Manager Kipp Simmons Accountant Donny Smith Director of Planning and Development Carmen Williams Receptionist Craig Gaffney Chair Jan Price Immediate Past Chair Bob DiMaggio Vice Chair Maye Hayes Vice Chair Jim Owens Treasurer Melinda Linnell Secretary Susan Carroll David Duckers Joanne Huey Joan Nickum Jim Schraeder Crystal Sutton Monsignor Tom Tank Gilbert Valle Our Vision Kansas City Kansas/Wyandotte County is a diverse and vibrant community welcoming families with housing, employment, educational and economic opportunities making our neighborhoods a community where people are proud to live. n Our Mission CHWC stabilizes, revitalizes, and reinvests in communities through improved housing and other related developments. n Photography by Charles Welborn, Roxane Hill, and Mark Leonard. Design by Lizzardbrand Inc. 13 14